Jindal Steel posts Rs 897-cr net profit

New Delhi, Nov 9: Jindal Steel and Power has reported a marginal growth of 2.5 per cent in consolidated net profit at Rs 897.28 crore for the quarter ended September 30, largely due to subdued

PTI [ Updated: November 09, 2012 16:22 IST ]

jindal steel posts rs 897 cr net profit

New Delhi, Nov 9: Jindal Steel and Power has reported a marginal growth of 2.5 per cent in consolidated net profit at Rs 897.28 crore for the quarter ended September 30, largely due to subdued steel demand during the quarter.

The Naveen Jindal-led company's consolidated net profit includes minority interest and share of profits in associates.

During the corresponding quarter of the last fiscal, JSPL had reported a net profit of Rs 875.37 crore.

Net sales were up 4.55 per cent at Rs 4,606.93 crore during the quarter against Rs 4,406.61 crore in the July-September period of FY'12, the company said in a filing to the BSE.

During the quarter, the company's expenses increased by nearly 9 per cent to Rs 3,327.63 crore, while its finance cost rose over 26 per cent to Rs 158.83 crore. JSPL's tax outgo also increased by over 13 per cent to Rs 343.70 crore.

In a separate statement, the company said its production of steel products grew 10 per cent to 6.9 lakh tonnes. Sales stood at 6.39 lakh tonnes, up seven per cent. Besides, the company's inventory of steel products increased by over 58 per cent to 4.99 lakh tonnes during the quarter.

Power output

The company, however, reported a 54 per cent growth in power production to 1,457 million kWh, while its power sales was up 146 per cent to 547 million kWh.

Moreover, its subsidiary Jindal Power achieved a profit after tax of Rs 260.25 crore and a turnover of Rs 565.06 crore during the second quarter of FY'13, JSPL said.

The firm is also commissioning the fourth unit of its power plant in Odisha's Angul district today. The unit has a capacity of 135 MW.

Meanwhile, in another filing to the BSE, the company said that it has appointed Sudershan Kumar Garg as an independent director and Dinesh Kumar Saraogi as a whole-time director on its board.

Besides, two existing whole-time directors of the company, Vikrant Gujral and M.L. Gupta, have resigned with immediate effect, it added.